DOT’s 5-day rally is behind it; Here’s what’s next for the alt

ambcrypto.com:

Polkadot’s native cryptocurrency DOT registered a 5-day recovery after kicking off April on the back of a strong bearish pullback. However, its price action, at press time, was approaching a previously tested resistance zone underpinned by a Fibonacci retracement.

DOT bears recently went on a recess after bottoming out at $16.73 on 11 April, before embarking on an overall bullish performance. In fact, it is up by roughly 10% since Monday, trading at $18.37 at the time of writing.

However, that recovery might be cut short by strong resistance near the $18.73-price level.

Source: TradingView

The 0.5 Fibonacci retracement line falls directly on the upcoming $18.73-resistance level. The probability of DOT encountering resistance at that level will be great thanks to previous support and resistance retests over the last 3 months.

If expectations holds true, then there might be another potential pullback. Such an outcome would also likely lead to support near the 0.618 Fibonacci level, a level which coincides with the $17.64-price level. Evaluating its latest performance may also help us determine where the price is heading.

DOT’s latest pullback did not have enough momentum to pull it to its sub-$16 lows. Its on-chain volume seemed to highlight a hike from 10 April, a day before the cryptocurrency commenced its latest rally. It was followed by an uptick in the supply held by whales from around 51.87% to 52.04%.

This coincided with the hike in volume and buying pressure, resulting in the uptick over the last few days.

Source: Santiment

DOT’s on-chain volume metric shows reduced volume after the 11-12 April volume increase. Although it has tapered down, it is still above the recent low and might support the retracement at the upcoming